Consulting Associates WHS Inc. is a consulting
firm relying on over 50 years collective experience in injury claims management for
Québec enterprises. 100% Quebec base, our group consists of experts and
experienced professionals who provide claims management services on
workplace accidents to employers operating in Québec.
Our team of paralegals and financial analysts have a thorough knowledge of the administrative policies of the Commission de la Santé et de la Sécurité du Travail (C.N.E.S.S.T.) and is able to help you better understand how to work with its various stages of decision-making process to achieve your financial and operational goals.
Our clients include dozens of unionized and non-unionized organizations throughout Québec in areas such as residences for autonomous and non-autonomous population, pharmaceutical industry, transportation industry, manufacturing industry, retail sector.
The players in the presence
of the government side
The Committee on Standards, Equity, Health and Safety at Work (C.N.E.S.S.T.).
The litigation of the C.N.E.S.S.T.
The administrative labor tribunal - Occupational health and safety division; Labor Relations, Essential Services, Construction and Qualification Division. professional and labor standards.
The Act respecting industrial accidents and occupational diseases (L.A.T.M.P.).
The Act respecting occupational health and safety (L.S.S.T.).
The Charter of human rights and freedoms, chapter C-12.
Pricing regimes at the C.N.E.S.S.T.
At the C.N.E.S.S.T., companies contribute to one of the following three plans:
The unit rate: for very small businesses. They pay a fixed rate, depending on their industry, and this rate is independent of their performance.
The personalized rate: for businesses that pay approximately $ 4,000 or more in annual dues. The personalization, ie the portion of their contribution rate affected by their own experience, depends mainly on their payroll.
In general, employers whose annual premium, before personalization, is between $ 7,500 and $ 400,000 are priced according to this method. In 2012, this affected some 55,000 employers.
The principle of rate customization is to reduce the risk to reduce the premium.
The employer premium priced at the personalized rate is calculated from a rate that reflects the risk associated with the activities carried out in his business.
In other words, the personalized rate varies according to the efforts made to prevent occupational injuries and / or occupational diseases, and to promote the return to employment of injured workers. The greater the effort, the lower the risk and the more advantageous the employer's rate compared to that of the unit.
In fact, to assess the risk posed by the employer's activities, the C.N.E.S.S.T. compares the costs of occupational injuries recorded in his file with those recorded in the files of employers carrying out the same activities, taking into account the size of his business.
As a general rule, for an employer with a small business, the part of the rate calculated according to the risk specific to its activities is of less importance. This is an insurance principle that offers him major protection: that of being immune to the sharp increases in his premium that the cost of serious injuries could entail. In return, he cannot take advantage of significant discounts, even if no injury is recorded in his file.
In contrast, an employer who pays a large payroll benefits from a highly personalized rate and the amount of his bonus depends on the costs of accidents that occur in his company and therefore on the efforts he devotes to prevention and the return to employment of injured workers.
The retrospective regime: for very large companies. The final assessment is entirely based on experience. Retrospective pricing is for the very large company whose annual membership fee is typically over $ 425,000. The fact of paying a contribution of less than $ 425,000 does not mean that the company is automatically excluded from this pricing method.
Retrospective pricing aims to establish an employer's contribution by reflecting as closely as possible the real cost for a given year. To do this, the Commission de la santé et de la sécurité du travail (C.N.E.S.S.T.) considers the occupational injuries related to this year and their changes over a reference period of four years in order to determine their cost.
Added to this are the cost of funding other programs and certain costs indirectly related to injuries, part of which is borne by each employer. Since this contribution can only be established after the occurrence of the injuries in the employer's company and their evolution, it is called the retrospectively adjusted contribution.
The retrospectively adjusted contribution is compared to the rate-based contribution (personalized rate, with some exceptions) and the difference, the retrospective adjustment, results in a decrease or an increase in the contribution.
Significant savings for good performance. Although the retrospective pricing method provides for certain insurance mechanisms, it is closely linked to the performance of the company in terms of occupational health and safety (S.S.T.). As a result, the efforts devoted to the prevention and re-employment of injured workers have a direct impact on the contribution.
A proactive approach to occupational health and safety, which requires the existence of an effective and well-applied prevention program, helps to limit the number of occupational injuries in the company at the source. In addition, if the employer promotes the prompt and lasting return to work of injured workers, the cost of the most serious injuries is considerably reduced.
In short, the employer subject to the retrospective mode exercises great control over the amount of his contribution.
Through sustained efforts in the area of S.S.T., the employer:
Better preserve its human capital;
Realizes significant gains in terms of contributions;
Reduces the indirect costs linked to occupational injuries;
Improves its competitive position.
The prevention mutual
A group of employers to promote prevention.
A prevention mutual is a group of employers who are involved in a process of prevention, rehabilitation and the return to employment of workers who are victims of an employment injury.
By grouping together, employers benefit from pricing that reflects their efforts.
Although membership in a prevention mutual is optional, no link is necessary between employers and no requirements are imposed as to the nature of the activities, three eligibility criteria apply.
First of all, the applicant must be an employer within the meaning of the Act respecting industrial accidents and occupational diseases (L.A.T.M.P./A.I.A.O.D.). Self-employed workers and companies that do not employ any worker can therefore not join a prevention mutual.
Then, the employer must be in good standing with the C.N.E.S.S.T. This assumes that it complies with all the obligations imposed by the Act respecting industrial accidents and occupational diseases (L.A.T.M.P./A.I.A.O.D.) and the Act respecting occupational health and safety (L.S.S.T./A.O.H.S.).
For example, an employer in default of paying his contribution cannot join a prevention mutual.
Finally, employers insured at the unit rate and at the personalized rate are eligible, the performance of employers subject to the retrospective mode already being fully recognized.
Participation in a prevention mutual makes the employer member subject to the personalized rate. In other words, the unit rate corresponding to the employer's activities will be adjusted taking into account the efforts invested in occupational health and safety.
Membership of a mutual also supposes that the rate of the member employer will henceforth be determined on the basis of the payroll and benefits of all employers of the prevention mutual. Consequently, membership in a prevention mutual does not automatically mean a reduction in the premium, since this reduction depends on the results obtained by the members of the group. If the performance of the members of the mutual is lower than that of the unit, the rate may even increase.
Participation in a mutual will have repercussions on the premium during the second year following the year of membership in the mutual. Therefore, for a membership in 2019, the first effects on the premium will be felt in 2021. The participation will not affect the premium for 2019 or that of 2020. In the same vein, if the employer leaves the mutual fund at the end of the first year of participation, the effects on the premium will be spread over four years of pricing.
What are the indirect benefits?
In addition to a premium reduction linked to the performance of a mutual, good management of occupational health and safety leads to a reduction in indirect costs attributable to accidents at work or occupational diseases. These are, for example, the costs related to the material losses resulting from the accident, the training of a replacement, the decrease in productivity and other factors. It is even possible that the indirect costs are greater than the direct costs reflected in the premiums. This is therefore another aspect that can add to the financial interest of joining a mutual.
Our extensive experience associated with our long working relationship with C.N.E.S.S.T. officials allow us to provide exemplary service to our clients. We consider your operations like ours by ensuring that all costs are carefully analyzed and confronted. In addition, we help injured workers regain their health and return quickly and safely to work.
At Consulting Associates WHS Inc. we are committed in working closely with our clients and striving to become an integral part of their organizational strategy in health and safety in the workplace.